BY PHESHEYA IAN KUNENE
MBABANE – Economist Sanele Sibiya is hoping and praying for the end of the ongoing Mozambique tensions so that Eswatini can continue with the economic gains it is getting from a stable Mozambique.
Sibiya said this today (Thursday, November 14, 2024) when analysing the political situation in the neighbouring country, which had a negative effect on not only that country’s economy, but also on the economies of neighbouring countries such as Eswatini.
The economist mentioned that an end to the tensions would help Eswatini avoid trade between the two countries being thrown into chaos. Sibiya revealed that Eswatini was benefitting close to a billion Emalangeni per year through trade with Mozambique. Sibiya said there were many goods that were imported and exported between the two nations.
He said Republic of Mozambique’s insecurity would be an obstacle to cross-border trade, affecting the flow of manufactured goods, along with the informal sector which consisted of flea market and other small businesses.
“We are praying that the tensions come to an end as quick as possible because we use Mozambique a lot to export and import goods into the country. The country might be badly economically speaking if these tensions do not come to end soon,” he said.
Sibiya said at the moment everything looked good as the nations were still enjoying economic gains amongst each other despite the tensions and some borders leading to neighbouring countries being temporarily closed. Sibiya said should the tensions continue, the nation would feel the pinch about two or three months later.
He added that the products imported from Mozambique were not only affordable but also provided diversity as the products being imported were diverse. The economist said the informal cross-border trade was a major feature in the country’s economy, supporting livelihoods and reducing poverty while also promoting entrepreneurial spirit amongst the citizens.
Mozambique, which gained independence from Portugal in 1975, is a crucial part of regional trade in Southern Africa, sharing borders with South Africa, Tanzania, Malawi, Zambia, Zimbabwe and Eswatini.
The political crisis started in October following the national elections which led to weeks of violent protests and prompted the losing candidate to dispute the outcome.
A number of people are reported to have died during the post-election violence which flared following the victory of the ruling Front for the Liberation of Mozambique (FRELIMO) candidate Daniel Chapo.
